HomeMy WebLinkAboutContractAGREEMENT BETWEEN THE CITY OF RENTON AND E^>KEΘ^W/E:
CARES ACT EMERGENCY SMALL BUSINESS SUPPORT GRANT
THIS AGREEMENT (“Agreement”) is dated for reference purposes only as thisϮϮϰƚŚ day
ofƵŐƵƐƚ2020, and is made by and between the City of Renton, a Washington
municipalcorporation (the “City”) and ĂŶnjĂ^ĂůŽŶΘ^ƉĂ͕/ŶĐ(“Recipient”), collectively
referredtoas the “Parties.”
WHEREAS, on March 5, 2020, the City issued a proclamation of local emergency due to
the public health impacts of COVID-19; and
WHEREAS, Governor Inslee issued Proclamation 20-25, “Stay Home, Stay Healthy,” on
March 23, 2020, which prohibited all people in Washington State from leaving their homes
or participating in social, spiritual and recreational gatherings of any kind regardless of the
number of participants, and all non-essential businesses in Washington State from conducting
business, within the limitations therein, all due to COVID-19; and
WHEREAS, Governor Inslee has issued several updates to Proclamation 20-25, including
Proclamation 20-25.3 on May 4, 2020, which established an initial four-phased approach to
reopening Washington State; and
WHEREAS Governor Inslee issued Proclamation 20-25.4 on May 31, 2020, which creates
a transition from “Stay Home – Stay Healthy” to “Safe Start – Stay Healthy;” and
WHEREAS, under the phased transition, many businesses located in the City are open only
with a limited capacity and/or reduced operations; and
WHEREAS, disruptions to workers and small businesses are serious, as small businesses
are a critical component of our economy, and provide a foundation of employment, services for
the community, and revenue for cities and other public agencies to continue to provide
essential services for the public welfare and benefit; and
WHEREAS, resources are necessary to help small businesses survive and certain small
businesses reasonably require public aid in order to survive; and
WHEREAS, Section 601(a) of the Social Security Act, as added by section 5001 of the
Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) (PL 116-136), established the
Coronavirus Relief Fund (the “Fund”) and appropriated $150 billion under Title V of the CARES
Act to the Fund to be used to make payments for specified uses to States and certain local
governments; and
CAG-20-177
PAGE 2 OF 8
WHEREAS, the Washington State allocation of Fund resources has been designated to
reimburse certain additional local governments in the state for specified expenditures though
contracts administered by the Washington State Department of Commerce (“Commerce”); and
WHEREAS, the City entered into an Interagency Agreement (the “Interagency
Agreement”) with Commerce regarding the Fund for the period March 1, 2020 through October
31, 2020, attached hereto as Exhibit 1 and incorporated herein; and
WHEREAS, via Resolution 4411, the City Council directed City administration to establish
the City of Renton CARES Act Relief Fund Program to utilize Fund resources, and the City’s CARES
Act Relief Fund Program includes a Small Business Support Program (the “Program”). The focus
of the Program is to provide short-term economic stability via monetary grants to qualifying small
businesses located within City limits that qualify under applicable federal, state, and local criteria;
and
WHEREAS, the City established an application program laying out eligibility criteria for the
Program. The City’s eligibility criteria are as follows: (1) the business is located in a building with
a commercial storefront or office within Renton city limits; (2) the business has been in operation
for at least two (2) years; (3) the business has a current City of Renton business license; (4) the
business has no more than 25 employees; and (5) the business is not owned, or partially owned,
by managers, officers, directors or public officials associated with the City of Renton; and
WHEREAS, the City made the application available to small businesses to seek funding
under the Program, and Recipient applied. Recipient’s application (the “Application”) is attached
hereto as Exhibit 2 and incorporated herein; and
WHEREAS, the City has reviewed the Application and determined that the Recipient is
eligible for assistance under this Program because (1) the business is located in a building with a
commercial storefront or office within Renton city limits; (2) the business has been in operation
for at least two (2) years; (3) the business has a current City of Renton business license; (4) the
business hasϭ employee; and (5) the business is not owned, or partially owned, by managers,
officers, directors or public officials associated with the City of Renton.
NOW THEREFORE, in consideration of the mutual covenants and agreements herein,
the Parties agree as follows:
AGREEMENT
1. Allowable Expenses. The total amount to be awarded to Recipient under the Program
is $ϱ͕ϬϬϬ(“Program Award Funds”). Recipient shall use Grant Funds only to pay
PAGE 3 OF 8
or reimburse Recipient for expenses allowable under the CARES Act and the
Interagency Agreement.
2. Time Period and Expenses Incurred in Excess of Program Award Funds.
a. The Recipient acknowledges that all expenses must be incurred by the
Recipient during the allowable time period established under the CARES Act
and the Interagency Agreement. (This time period was originally March 1,
2020 through October 31, 2020, but is subject to change.)
b. The Recipient acknowledges that any expenses incurred in excess of Program
Award Funds are the Recipient’s sole responsibility and will not be paid by
the City.
3. Recipient’s Compliance Obligations.
a. Compliance with laws, regulations, and other obligations.The Recipient shall
comply with and obey all applicable federal, state and local laws, regulations,
and ordinances. Should the Recipient’s spending of the Program Award Funds
be inconsistent with applicable laws, provisions of this Agreement, provisions
of the CARES Act, provisions of the Interagency Agreement, information
Recipient provided in the Application, or otherwise inappropriate, the City
shall have the right to the return of any portion of the Funds that are later
determined to have been spent in violation. Unless exigent circumstances
exist, the City shall not exercise this right until it has given Recipient written
notice of Recipient’s noncompliance, and allowed Recipient a period of ten
(10) days from the date of notice for Recipient to cure the noncompliance.
The right of recapture provided in this section is in addition to and not in lieu
of any right which Washington law provides for breach of contract.
b. Requirement to Provide Accurate Information. The Recipient understands
and acknowledges that providing false information in the Application or on
any documents submitted to the City or its designees as part of the
Recipient’s participation in the Program may constitute fraud, justify
termination of this Agreement, trigger the Recipient’s obligation to return
funds, and may be subject to civil and/or criminal penalties and/or sanctions.
c. No Use of Program Award Funds for Expenses Covered by Other Programs.
The Recipient shall not use Program Award Funds to cover expenses for
which the Recipient has received other federal, state or regional funds,
including without limitation funds made available under the Payroll
Protection Program (“PPP”) or unemployment insurance compensation.
d. Certification Regarding Debarment, Suspension, Ineligibility and Voluntary
Exclusion – Lower Tier Covered Transaction. Recipient certifies, by signing this
PAGE 4 OF 8
Agreement that neither it nor its principals is presently debarred, suspended,
proposed for debarment, declared ineligible, or voluntarily excluded from
participation in this transaction by any Federal or State department or
agency.
4. Maintenance of Records.
a. The Recipient shall maintain accurate written records reflecting all of
Recipient’s direct and indirect expenditures of Program Award Funds. These
records must be sufficient to demonstrate that the Program Award Funds
have been used in accordance with Section 601(d) of the Social Security Act.
To the extent necessary for the City to comply with the City’s obligations
under the CARES Act and/or the Interagency Agreement, the City review the
documentation to determine the Recipient’s conformance with the
requirements of the Program, and the Recipient shall make available to the
City, upon request, all of the Recipient’s records and documents with respect
to all matters covered by this Agreement.
b. The City may require the Recipient to provide additional documentation if the
existing documentation is deemed incomplete.
c. The Recipient shall retain all records related to this Agreement for a period of
six (6) years following the receipt of Program Award Funds. These records,
including materials generated under the Agreement, shall be subject at all
reasonable times to inspection and review by the City, and to an audit by
Commerce, personnel duly authorized by Commerce, the Office of the State
Auditor, and other federal and state officials so authorized by law, regulation
or agreement.
d. If any litigation, claim or audit is started before the expiration of the six (6)
year period provided in Section 4(c) above, the records shall be retained until
all litigation, claims, or audit findings involving the records have been
resolved.
5. No Employee Relationship. The Recipient understands and acknowledges that
neither the Recipient nor any officer, employee or agent of the Recipient shall be
considered to be an employee of the City, nor entitled to any benefits accorded City
employees, by virtue of the services provided under this Agreement. The City shall
not be responsible for assuming the duties of an employer with respect to the
Recipient or any employee of the Recipient.
6. Indemnification. The Recipient agrees to release, indemnify, defend, and hold
harmless the City, elected officials, employees, officers, representatives, and
PAGE 5 OF 8
volunteers from any and all claims, demands, actions, suits, causes of action,
arbitrations, mediations, proceedings, judgments, awards, injuries, damages,
liabilities, taxes, losses, fines, fees, penalties, expenses, attorney’s or attorneys’ fees,
costs, and/or litigation expenses to or by any and all persons or entities, arising
from, resulting from, or related to the negligent acts, errors or omissions of the
Recipient or sub-Recipients, except for that portion of the claim caused by the City’s
sole negligence . In the event of any dispute between the Recipient and its
employees, subcontractors or anyone with a claim to some or all of the Recipient’s
Program award funds, the Recipient shall be responsible for resolution of any such
claim and the City shall have no responsibility nor obligation in the resolution
process nor outcome. The Recipient shall ensure that any sub-recipient of any
Program award funds shall agree to defend and indemnify the City to the extent and
on the same terms and conditions as the Recipient’s indemnification of the City.
7. Non-discrimination. During the performance of this Agreement, the Company shall
comply with all federal and state nondiscrimination laws, including but not limited
to, chapter 49.60 RCW, Washington’s Law Against Discrimination, and 42 U.S.C.
12101 et seq., the Americans with Disabilities Act (ADA). In the event of the
Company’s noncompliance or refusal to comply with any nondiscrimination law,
regulation, or policy, this Agreement may be rescinded, canceled, or terminated in
whole or in part.
8. Effective Date. The effective date of this Agreement shall be the last date signed by
the Parties.
9. Interagency Agreement Amendments. The Parties acknowledge that Commerce or
other agencies of the State of Washington may request changes to the Fund or the
provisions of the Interagency Agreement. Any changes or revisions to the Fund or
the Interagency Agreement terms and conditions that are applicable to this
Agreement shall be incorporated by amendment of this Agreement, following
written notice by City to the Recipient.
10. Public Disclosure. All Recipient documents and records comprising the Agreement,
including the Application, and all other documents and records provided to the City
by the Recipient are deemed public records subject to disclosure and release under
the Washington State Public Records Act, Chapter 42.56 RCW, unless an exemption
under the Public Records Act or other laws applies.
11. Complete Agreement. This Agreement sets forth the complete expression of the
agreement between the Parties, and any oral representations or understandings not
incorporated herein are excluded.
Approved by Leslie Clark via 8-17-2020 email
PAGE 7 OF 8
Exhibit 1
INTERAGENCY AGREEMENT
[See following pages.]
PAGE 8 OF 8
Exhibit 2
RECIPIENT’S APPLICATION
3ULQW3UHYLHZ 6PDOO%XVLQHVV5HOLHI)XQG (QWU\
KWWSV ZK\UHQWRQFRP"JIBSDJH SULQWHQWU\ ILG OLG QRWHV
6PDOO%XVLQHVV5HOLHI)XQG (QWU\6PDOO%XVLQHVV5HOLHI)XQG (QWU\
'RHV\RXUEXLOGLQJKDYHDFRPPHUFLDOVWRUHIURQWRURIILFHZLWKLQ5HQWRQFLW\OLPLWV
<HV
+DYH\RXEHHQLQEXVLQHVVIRUDWOHDVW\HDUV"
<HV
'R\RXFHUWLI\WKDW\RXDUHFXUUHQWRQDOO6WDWHDQGORFDOWD[HVOLFHQVHVDQGRWKHUDSSOLFDEOHUHJXODWRU\UHTXLUHPHQWVWR
RSHUDWHLQWKH&LW\RI5HQWRQ"
<HV
'R\RXKDYHDFXUUHQW&LW\RI5HQWRQEXVLQHVVOLFHQVH"
<HV
&LW\RI5HQWRQ%XVLQHVV/LFHQVH1XPEHU
&XUUHQWQXPEHURIHPSOR\HHVLQFOXGLQJ\RXUVHOI
WR
,V\RXUEXVLQHVVRZQHGRUSDUWLDOO\RZQHGE\PDQDJHUVRIILFHUVGLUHFWRUVRUSXEOLFRIILFLDOVDVVRFLDWHGZLWKWKH&LW\RI
5HQWRQ"
1R
1DPH
&KHU\O'DQ]D
%XVLQHVV1DPH
&''DQ]D6DORQ 6SD,QF
$GGUHVV
6WK6WUHHW
5HQWRQ:DVKLQJWRQ
8QLWHG6WDWHV
0DS,W
(PDLO
FKHU\O#FGGDQ]DFRP
3KRQH
$UH\RX
3ULQW3UHYLHZ 6PDOO%XVLQHVV5HOLHI)XQG (QWU\
KWWSV ZK\UHQWRQFRP"JIBSDJH SULQWHQWU\ ILG OLG QRWHV
6PDOO%XVLQHVV5HOLHI)XQG (QWU\6PDOO%XVLQHVV5HOLHI)XQG (QWU\
:RPHQRZQHG
,QGXVWU\6HFWRU
3HUVRQDO&DUH KDLU QDLOVDORQVEDUEHUPDVVDJH
5HWDLO
,V\RXUEXVLQHVVIDFLQJSHQGLQJOHJDOOLWLJDWLRQRUOHJDODFWLRQ LQFOXGLQJ5HQWRQ&RGH(QIRUFHPHQW"
1R
+DV\RXUEXVLQHVVH[SHULHQFHGDORVVRILQFRPHGXHWR&29,' "
<HV
:DV\RXUEXVLQHVVUHTXLUHGWRFORVHGXHWRWKHSDQGHPLF"
<HV
,ISUHYLRXVO\FORVHGLV\RXUEXVLQHVVDOORZHGWREHRSHQGXULQJWKHFXUUHQWSKDVHRIWKH*RYHUQRU
V6DIH6WDUWSODQ"
<HV
:KDWLVWKHFXUUHQWRSHUDWLQJFRQGLWLRQRI\RXUEXVLQHVV"
2SHQRSHUDWLQJLQDOLPLWHGFDSDFLW\
([SODLQKRZIXQGVZLOOEHXVHGWRKHOS\RXUHFRYHUIURPWKHLPSDFWVRIWKH&29,' SDQGHPLF
'XHWR&29,' SDQGHPLFWKHEXVLQHVVKDVVXIIHUHGDQGH[WUHPHORVV,IJUDQWHGWKHIXQGVWKH\ZLOOEHXVHGIRUSD\UROOUHQW
33(VXSSOLHVDQGVRPHRSHUDWLQJFRVWVXFKDVSD\LQJXWLOLWLHVDQGEXVLQHVVVXSSOLHV7KHVHIXQGVZLOOKHOSWUHPHQGRXVO\WR
UHFRYHUVRPHIURPWKHLPSDFWVRI&29,'
:LOOWKLVJUDQWKHOS\RXUHWDLQMREV",IVRKRZPDQ\"
<HVDWOHDVW
+DYH\RXUHFHLYHGDQ\VWDWHIHGHUDORURWKHUJUDQWVRUORDQVGXULQJWKH&29,' FULVLV"
<HV
,V\RXUEXVLQHVVUHYHQXHDERYHPLOOLRQGROODUVDQQXDOO\"
1R